Export-oriented Manufacturing Research Articles

In search of a growth model for Italy: the failed attempt of an export-led recovery strategy?

We analyse Italy’s growth pattern from 2001 to 2019 using the demand and growth regime categories proposed in the post-Keynesian tradition and recently adopted in the comparative political economy (CPE) literature. We argue that after the Global Financial and Economic Crisis (GFEC), Italy followed an export-led recovery strategy. In this respect, Germany’s growth model emerged as the successful model to follow. In the dominant view, Germany’s economic success since the mid-2000s was attributed to a series of painful but necessary economic reforms. The success of Germany’s export-led mercantilist regime became particularly attractive to Italy given the similar export-oriented manufacturing industry. However, Italy has followed the ‘wrong’ German model based on wage compression and restrictive budget policies while the ‘true’ German model is based on non-price competitiveness factors.

ECONOMIC SECURITY OF UKRAINE DURING MILITARY OPERATIONS: CHALLENGES AND WAYS OF COUNTERACTION

The article focuses on analyzing the state of economic security of Ukraine during the military operations. It identifies key challenges directly impacting the country's economic security and explores potential ways to overcome them. 
 The analysis established that the current state of the economic system of Ukraine was formed under the influence of destructive external and internal challenges that pose threats to economic security. The challenges associated with the protracted war remain crucial for Ukraine.
 The article highlights the challenges that threaten the economic security of Ukraine's external security environment such as high dependence of the domestic economy on foreign borrowings, deteriorating financial conditions of the export-oriented production sector, and inadequate government responses to conflicts in political, economic and social realms. There are still threats to the amount and timing of external financing for the state budget, and logistical difficulties are a significant risk, which negatively affects export earnings and the economic security of the state.
 Internal threats include high level of corruption in public authorities; ineffective control over compliance with the law; inefficient use of state and local budgets; relatively high level of shadow economy.
 The author substantiates the priority directions and ways of counteracting the challenges and threats to Ukraine's economic security during military operations. Ensuring the economic security of the state in a military conflict requires flexibility, predictability, and an integrated approach that includes social, economic, and defense aspects of national security. Key priorities include ensuring food security, supporting crucial economic sectors, especially those important for defense and essential goods production, implementing policies for financial aid from international partners, transparent and effective use funds received from international partners, implementing a policy to increase defense spending

О некоторых механизмах импортозамещения во второй сфере АПК России

In this work, an analysis of a possible option for introducing the “sandbox mechanism” into agriculture of the Russian Federation was carried out; the authors investigated the possible economic consequences of this implementation. The emphasis is placed on the fact that this step will allow our country to enter a completely new innovative path of agricultural development. The following research results were obtained: failures in imports and exports due to large-scale disruptions in food supply chains are the results of Western sanctions pressure on the Russian food market. Russia is still dependent on imports, so the main thesis is that exports and import substitution are complementary strategies. In order to level out the problem of import substitution, the authors propose the use of a “sandbox mechanism”; it is quite obvious that, through a certain methodology, we will reduce the time and costs of entering export-oriented products into the national market, and then world markets and, subsequently, expanding production capabilities for domestic manufacturers. The key directions of state policy in the field of import substitution have been identified - ensuring technological sovereignty in the country through the production of import-substituting and export-oriented products. The main threats to food security for 2024-2025 are formulated: the further use of parallel imports will only worsen the already difficult relations with the West, and new risks will also appear - an uncontrolled rise in food prices and, as a result, a loss of confidence of the domestic consumer. Specific models of import substitution are proposed with an emphasis on domestic high-tech developments and scientific competencies in the food market.

Development of eco-marketing in the conditions of sustainable innovative development of organic agricultural production in Ukraine under the influence of the permaculture concept

By embracing a holistic approach to agriculture and land use and influencing environmental marketing practices, permaculture has been found to provide a more comprehensive and interconnected understanding of sustainable development. It is noted that ecological practices, which are the basis of organic food production, create an attractive climate for investment, taking into account the annual growth of global demand for organic products. The ways of eco-marketing development in the conditions of sustainable innovative development of organic agricultural production of Ukraine, which are considered a priority for the further development of the agro-industrial complex, under the influence of the concept of permaculture for the promotion of organic production products created by environmentally friendly means and technologies at all stages of the life cycle, have been determined. Innovative approaches for the sustainable development of modern organic agricultural production with the possibility of using permaculture design are analyzed. Also, to support the sustainable development of organic export-oriented production in Ukraine, manufacturers are actively introducing leading Ukrainian startups into their activities. It is noted that organic certification should contribute to the development of internal and external organic markets, taking into account the best practices of international experience. It has been studied how the vision of modern eco-marketing affects the promotion of products of organic productions that have organic certification in Ukraine. It is shown how the ranking of organic brands is formed by marketing experts in several stages and companies are evaluated according to the volume of production and sales in the domestic market, as well as according to the presence of brands in retail chains. A description of the TOP-10 organic brands of Ukraine in 2023 is given. A SWOT analysis and an analysis of driving forces for the development of eco-marketing in the conditions of sustainable innovative development of organic agricultural production under the influence of the concept of permaculture were carried out. The main directions of the development of eco-marketing in the conditions of sustainable innovative development of organic agricultural production of Ukraine are determined. The research is aligned with and contributes to global sustainable development goals, including those related to responsible consumption and production, climate action and global partnerships, emphasizing the interconnectedness of environmental and social aspects of organic agriculture.

Development of eco-marketing in the conditions of sustainable innovative development of organic agricultural production in Ukraine under the influence of the permaculture concept

By embracing a holistic approach to agriculture and land use and influencing environmental marketing practices, permaculture has been found to provide a more comprehensive and interconnected understanding of sustainable development. It is noted that ecological practices, which are the basis of organic food production, create an attractive climate for investment, taking into account the annual growth of global demand for organic products. The ways of eco-marketing development in the conditions of sustainable innovative development of organic agricultural production of Ukraine, which are considered a priority for the further development of the agro-industrial complex, under the influence of the concept of permaculture for the promotion of organic production products created by environmentally friendly means and technologies at all stages of the life cycle, have been determined. Innovative approaches for the sustainable development of modern organic agricultural production with the possibility of using permaculture design are analyzed. Also, to support the sustainable development of organic export-oriented production in Ukraine, manufacturers are actively introducing leading Ukrainian startups into their activities. It is noted that organic certification should contribute to the development of internal and external organic markets, taking into account the best practices of international experience. It has been studied how the vision of modern eco-marketing affects the promotion of products of organic productions that have organic certification in Ukraine. It is shown how the ranking of organic brands is formed by marketing experts in several stages and companies are evaluated according to the volume of production and sales in the domestic market, as well as according to the presence of brands in retail chains. A description of the TOP-10 organic brands of Ukraine in 2023 is given. A SWOT analysis and an analysis of driving forces for the development of eco-marketing in the conditions of sustainable innovative development of organic agricultural production under the influence of the concept of permaculture were carried out. The main directions of the development of eco-marketing in the conditions of sustainable innovative development of organic agricultural production of Ukraine are determined. The research is aligned with and contributes to global sustainable development goals, including those related to responsible consumption and production, climate action and global partnerships, emphasizing the interconnectedness of environmental and social aspects of organic agriculture.

Exploration of challenges and readiness MSMEs coffee business in the age of global trade based on carbon footprint (Ecolabel)

Indonesia’s export-oriented products and industries face technological barriers, especially agriculture, and plantations, to declare eco-label products in world trade competition. In fact, exports from this sector are one of the contributing factors to Indonesia’s GDP. The third rank of Indonesia’s mainstay agricultural and plantation sector export commodities is coffee. This study aims to comprehensively determine the challenges and readiness of coffee micro, small and medium enterprises (MSMEs) in Java in the global trade era based on carbon footprint. This study uses in-depth interviews with 7 coffee MSME actors in West and East Java. We use SWOT analysis to explore strengths, weaknesses, opportunities, and threats. The results showed that only 4 out of 7 coffee MSME actors knew about carbon footprint. This is due to limited knowledge of carbon reduction, carbon tax, and the advantage of the certification. Carbon footprint certification is considered an investment. Even though the certification process will be costly, meticulous, and lengthy, it can be an opportunity for the domestic products to be competitive with global products. The government must really know which business sectors will be subject to carbon tax so that they are right on target. They must consolidate with all related parties such as business owners, farmers, academics, and associations.

Managing the quality and nutritional value of fortifi ed nutrient-adapted food products for the purpose of their export-oriented production

This article presents an analysis of the market for fortifi ed food products manufactured worldwide for the period of 2014–2022. The prospects for using a mix of microgreens as a functional ingredient in the fortification of food products for mass consumption and the results of the formation of the biological effectiveness of the fat component of fortifi ed mayonnaise sauce for the development of export-oriented production, which is not inferior in consumer properties to foreign analogues, are presented.

ВЛИЯНИЕ ПРОДОВОЛЬСТВЕННОГО БАЛАНСА РЕГИОНОВ РОССИЙСКОЙ ФЕДЕРАЦИИ НА НОРМЫ ПОТРЕБЛЕНИЯ ПРОДУКТОВ ПИТАНИЯ

The article examines the impact of the food balance of the regions of the Russian Federation on the norms of food consumption recommended by the Ministry of Health of Russia. As a result of the clustering of regions according to the type of food balance, four types of regions were identified: a donor region with export-oriented production, a donor region with a focus on domestic demand, a recipient region with advanced import substitution, a recipient region with a focus on domestic demand. As a result of the study, a close relationship was confirmed between the recipient regions with a focus on domestic demand and the regions with the greatest deviation from the norms of food consumption.

Features of applying safeguards to Optimized Floating Power Unit spent nuclear fuel handling

After the Floating Power Unit Akademik Lomonosov with the KLT-40S reactor plant had been successfully commissioned, the next step for ROSATOM was to develop optimized floating power units (OFPU). OFPUs powered by the RITM reactor plant are an export-oriented product, and they designed to operate on sites outside Russia. OFPU engineering solutions are based upon the practical design and operation experience in nuclear-powered icebreakers and upon problem solving to assure safety for operation of nuclear plants under severe northern conditions. At the nuclear fuel enrichment lower than 20%, the refueling interval for the OFPU may be up to 10 years depending on Loadings. The RITM reactor refueling process has a number of differences compared to the refueling process of other nuclear power plants fitted with water-cooled water-moderated power reactors. RITM plants have never been placed under the IAEA Safeguards, and capabilities and features of applying the IAEA Safeguards to such plants require an additional analysis. The developed operation model assumes that the OFPU be operated on a deployment site for a long period, and all fuel handling operations will be done at a specialized facility in the Russian Federation (RF). This paper is discussing the major fuel handling features in the life cycle of the OFPU fitted with RITM-200M—these are the critical features in terms of the IAEA Safeguards. Also, the paper is providing the designers’ perspective on solving the key non-proliferation problems through adapting the Safeguards approaches with account of the OFPU technical features.

THE GERMAN POWER INDUSTRY UNDER CONDITIONS OF ENERGY CRISIS: THE PRICE OF RELIABILITY. PART 2

The first part of the paper includes a discussion on the impact the energy crisis had on the German power industry and what measures the government has taken to ensure a reliable energy supply. Reliability, efficiency and sustainability make up the «Triangle of Aims» of the energy policy of a country. The second half of the paper is dedicated to the measures that the federal government took during the acute phase of the energy crisis in terms of the second aim. We discuss three main aspects. Firstly, we show the changes in the structure of pricing for two categories of consumers: householders and non-household consumers. Secondly, we demonstrate the formation of the price on the electricity spot market. Lastly, we elaborate on the ways the government could influence the level of prices and to what extent these possibilities have been used in accordance with the rules of the European Union. The crisis showed the readiness of the government to take costly measures such as zeroing the taxes that are due under the Renewable Energy Act, giving a lump sum payment to the employed, the students and the pensioners, refusing to increase the cost of CO2 emission certificates, providing business benefits and subsidies and enforcing a gas and electricity price brake. For the period after the end of the «price brake», the government is considering subsidizing prices for export-oriented production that implements the climate goals. These plans confirm the existence of the «shadow budget» that was formed for overcoming the consequences of the pandemic

Exploring farmers’ perspectives on agrobiodiversity management: future options for quinoa smallholder organizations in the Peruvian high Andes

The intensification of crop production is widely recognized to negatively affect the agrobiodiversity in smallholder systems. This trend can also be observed in Quinoa production systems, where few varieties are commercialized while maintaining traditional varieties of quinoa remains a key agricultural activity in the high-Andes landscape. In recent decades, the “boom” of quinoa production has given rise to national projects intended to ensure that farmers benefit from their agricultural heritage, including the development of a collective trademark. However, little is known about the opinions of smallholder farmers regarding quinoa varieties cultivation, farming practices, market choices, or the development of a collective trademark as a tool to safeguard a position in the booming international quinoa market. To address these questions, we developed our research in three villages in the Puno region of Peru, quinoa’s center of origin. We applied a novel combination of participatory methods: the Q methodology to interpret the perceptions of smallholder quinoa farmers concerning the activities that are important on their farms, and the Four-Square Analysis workshops to explore quinoa biodiversity management. The results of our Q-analysis revealed three types of opinions emerging among farmers: (Type 1) Conservationist, (Type 2) Intensification sustainer, and (Type 3) Collaboration seeker. Type 1 assigns importance to maintaining and promoting quinoa biodiversity through collective practices and markets. Type 2 focuses on developing export-oriented production based on certified and improved varieties, combined with efficient ways of storing quinoa. Type 3 appears to value the collective aspects of organizations and cooperation among stakeholders. According to the results of the Four-Square Analysis, most landraces of quinoa are threatened by genetic erosion, as they are cultivated in situ in small plots and on few farms. Our results are an important baseline for further project development for biodiversity conservation in situ and market inclusion engaging local communities.

Analysis of Competitiveness and Product Export Determinants in the East Java Manufacturing Industry

This study aims to determine the export competitiveness of East Java manufactured products based on the harmonized system (HS) through Revealed Comparative Trade Advantage (RTA) analysis to cluster superior manufacturing products in the districts/cities with the largest share of the manufacturing industry using Location Quotient (LQ), as well as analyzing the determinants of East Java exports based on the destination country of trading partners in the short and long term using the Vector Error Correction Model (VECM). The results show that the RTA value of East Java is still competitive in terms of exports of manufactured commodities. In addition, the LQ analysis also concludes that there are industrial agglomerations, namely industries that are close to each other and form industrial areas, such as in Surabaya-Gresik-Sidoarjo-Malang. On the other hand, the short-term and long-term modeling shows that the GDP per capita of partner countries plays a crucial role in the sustainability of East Java’s exports. This result lead to several policy recommendations, such as preventing the demand shock from partner trading country especially non-ASEAN countries, either price and exchange rate volatility or political events as well as strengthening strategy to focus commodity production for export-oriented products.

THE ROLE OF EXPORT-ORIENTED PRODUCTION IN THE DEVELOPMENT OF THE NON-OIL ECONOMY

The purpose of the research – determining the role of export-oriented production in the development of the non-oil economy. The methodology of the research – scientific summarization, analysis, synthesis, comparison, etc. research methods were used during the performance of research work. The practical importance of the research – the development of export potential through the international integration process, including the determination of parameters, factors and resources for the production of export-oriented goods, is considered one of the priorities of non-oil sectors. In this regard, the main goal of structural changes in the non-oil sector in accordance with modern demands is to ensure the country`s organic entry into the international distribution system and maximum useage the of export potential. The results of the research – research was conducted to determine the role of export-oriented production in the non-oil economy and directions for stimulating growth in the non-oil economy were proposed. The originality and scientific novelty of the research – determining the development trends of the non-oil sector and the role of export-oriented production areas in the development of the non-oil economy.

ГРАНТИ ДЛЯ ЕКСПОРТНО-ОРІЄНТОВАНИХ ПІДПРИЄМСТВ ПЕРЕРОБНОЇ ГАЛУЗІ ВІД ПРОГРАМИ USAID «АГРО»: ПЕРЕПОНИ ТА МОЖЛИВОСТІ

The article is devoted to the study and analysis of grant opportunities provided by the USAID "AGRO" program within the framework of the export-oriented program for the processing of grain, oil and leguminous crops in Ukraine. The program is aimed at restoring and developing the export potential of processing enterprises, expanding sales channels and increasing sales volumes on international markets. The purpose of the article is to reveal the key aspects of the program, determine its significance for enterprises in the processing industry, and identify the opportunities that are opened by receiving grants. The article examines in detail the priorities and goals of the program, such as the production of high-margin products, the expansion of export markets, and the development of processing facilities. The importance of creating an export-oriented product and developing competitive production strategies is highlighted. It also examines the problems faced by enterprises in the processing industry in Ukraine and how the USAID "AGRO" program can help solve them. The article highlights the key conditions and requirements for the participants of the competition, as well as analyzes the limitations and barriers that may arise in the process of obtaining grants. A detailed overview of how applicants should formulate their project proposals and how the subgrant amount is determined is provided. In the conclusion of the article, the opportunities open to enterprises of the processing industry, if they successfully use grants from the AGRO program, are considered. It is noted that these opportunities include financial support, expansion of export flows, development of high-margin products and stabilization of sales volumes on the world market. The conclusion emphasizes the importance of the USAID "AGRO" program as a strategic tool for stimulating the development and competitiveness of the processing industry in Ukraine. The program is a step forward in creating a sustainable and efficient business model, contributing to economic growth and increasing the competitiveness of the Ukrainian processing industry on the world stage. As a result, the USAID "AGRO" export-oriented program for the processing of grain, oil and leguminous crops becomes not only a key tool for supporting enterprises, but also a strategic driver in the direction of stable and successful development of the agricultural sector of Ukraine.

Direction and Determinants of Indian Seed Spices Export: A Case of Cumin

The study analyzed the dynamics of cumin export from 2004-05 to 2020-21 and factors influencing its exports from India during 1980-81 to 2020-21 by employing compound growth rate, instability, Markov chain analysis, and multiple regression analysis. The export of cumin from India registered higher growth than its production. The export of cumin was significantly increased with lag year production, the exchange rate, and total export from India. The study found export diversification towards Bangladesh and Vietnam emerged as the highly preferred market with lower instability in the above period. In contrast, exports to the USA, UAE, UK, and Nepal have narrowed. Nevertheless, these countries have assured markets because of the large number of South Asian families here; cumin is a vital ingredient in their food. Results suggest export-oriented production adhering to quality norms of high-value markets like the USA, UAE, Japan, Malaysia and UK. A noteworthy governmental stimulus is required to boost further cumin exports, enhancing the income of the farmers

Kazakhstan Food security at the present stage of development

In this article, the authors consider the current state of food security in Kazakhstan. The main purpose of the article is to assess food security in Kazakhstan. Today, 9.2% of the world's population faces food insecurity, namely the consumption of insufficient food, as a result of which a person experiences hunger. It is worth noting that the economic consequences of the epidemic and the measures taken to prevent it have led to an increase in food prices and there is often an economic unavailability of healthy food in the world. In the course of the study conducted by the authors, it was revealed that in the conditions of recent events, the severity of food insecurity is aggravated. Therefore, in the context of innovative development, Kazakhstan is increasingly focusing on food security issues. The article considered the current state of agricultural production development: namely, the gross harvest of agricultural crops and the production of certain types livestock products in Kazakhstan for 2018-2022. The authors also analyzed Kazakhstan profile in more detail according to the data of the global food security index. The global food security index is considered in more detail, which includes the level of availability and consumption of food, the availability and accessibility of food, the level of food quality and safety. In the course of the analysis, the main directions of ensuring food security were proposed, such as: the growth of agricultural competitiveness and product quality, the development of export-oriented production, the development of breeding and genetic and technical and technological modernization of the agro-industrial complex, the introduction of high-tech technologies, etc.

Possibilities of realization of Ukraine’s export potential on the world market

In the article, the author calculated and analyzed the dynamics of indicators of Ukraine's export potential for the period 2016–2021. The product structure of Ukraine's exports in 2021 was determined and the share of goods exports in Ukraine's GDP was calculated for 2016–2021, which provided an opportunity to summarize existing trends and to present certain practical proposals. It was established that, despite the crisis conditions of 2020–2022, the trends demonstrate the activation of Ukrainian exporters on the world markets, but the structure of trade in itself somewhat inhibits the processes, which is reflected by a negative indicator of trade turnover. It was determined that the possibilities of Ukraine's export potential demonstrate that in 2021, ferrous metals and grain products will account for larger sales volumes on foreign markets. It is noted that Ukraine's exports are growing faster than imports, and the country's high dependence on imports is a negative factor. It was established that Ukraine remains a raw material appendage. Therefore, from a strategic perspective, Ukraine aims to change this trend through the active development of industrial processing, which will change the shares exactly the opposite: to export 75% of finished products and services and only 25% of raw materials. It has been found that the impact on the opportunities of Ukraine's export potential is exerted by a complex of internal and external factors, which are of an acute problematic nature. Based on the results of the calculations, it was established that an urgent issue in order to expand the possibilities of realizing the export potential of Ukraine on world markets is the implementation of a balanced foreign economic policy of the state regarding the support of national producers, the stimulation of export-oriented products and increasing their competitiveness, bringing the legislative framework in the field of foreign economic activity to meet world standards. It was determined and proposed that to optimize the commodity structure of foreign trade, a strategic measure is the transition from a focus on raw material exports to the export of processed, processed or finished products with high added value, as well as supplementing the existing dominant export industries with other promising directions.

Study of export and import turnover of the regional development of the national economy by the method of clustering objects in the context of European integration processes

The European course of development of the national economy, which was taken back in 2014, is undergoing certain stages of transformation. At the first stages of European integration, a number of transformational transitions took place from partnership from the "Eastern" direction to a clear vector towards EU countries and global partnership. The Ukrainian production system was morally and technologically outdated a long time ago. New external factors, such as Covid-19, introduced their transformational changes in management and the transition to "digitalization" of both production and information and management flows. The study of the potential of export-oriented regions of Ukraine will allow to determine priorities in the introduction and implementation of European standards and requirements, such as for production, compliance with European requirements for product quality, environmental requirements, and other aspects, the standards of which are prescribed in the road map of Ukraine's accession to the EU, and, accordingly, European integration processes for all enterprises and companies of the national economy. The external aggression of the Russian Federation in 2022 only accelerated the processes of European integration transformations for the sectors of the national economy, the products of which are primarily exported to EU countries and the world. Such goods include products of the agro-industrial sector, mineral products, wood and wood products. And if agro and food products make up 53% of the total export in Ukraine in 2022, the share of metallurgy is only 4.3%. In our article, we investigated which sectors of the economy are a priority for the support of state and European institutions and financial foundations, for further dynamic development and investment and economic support. Also, in our article, we conducted research and modeling of the regions of Ukraine, which are the largest clusters in terms of export and import turnover. Such research using modern scientific methods of cluster analysis will allow to unite the regions of Ukraine in one cluster according to the level of export and import turnover. This will allow identifying the potentials in the regions of the lower clusters and increase their potential opportunities in the future to develop those sectors of the national economy that will be able to ensure the growth of export-oriented products. The development of the metallurgical sector of the national economy and military-oriented production will allow not only to increase the defense capability of our country, but also to increase the share of export-oriented products, and accordingly to significantly improve the production potential of the national economy. The use of modern Python-type software in our article allows you to visualize all the performed stages of modeling using cluster analysis.

Explaining the stickiness of supply chain relations in the Brazilian soybean trade

The global trade of agricultural commodities has profound social-ecological impacts, from potentially increasing food availability and agricultural efficiency, to displacing local communities, and to incentivizing environmental destruction. Supply chain stickiness, understood as the stability in trading relationships between supply chain actors, moderates the impacts of agricultural commodity production and the possibilities for supply-chain interventions. However, what factors determine stickiness, that is, how and why farmers, traders, food processors, and consumer countries, develop and maintain trading relationships with specific producing regions, remains unclear. Here, we use data on the Brazilian soy supply chain, a mixed methods approach based on extensive actor-based fieldwork, and an explanatory regression model, to identify and explore the factors that influence stickiness between places of production and supply chain actors. We find four groups of factors to be important: economic incentives, institutional enablers and constraints, social and power dimensions, and biophysical and technological conditions. Among the factors we explore, surplus capacity in soy processing infrastructure, (i.e., crushing and storage facilities) is important in increasing stickiness, as is export-oriented production. Conversely, volatility in market demand expressed by farm-gate soy prices and lower land-tenure security are key factors reducing stickiness. Importantly, we uncover heterogeneity and context-specificity in the factors determining stickiness, suggesting tailored supply-chain interventions are beneficial. Understanding supply chain stickiness does not, in itself, provide silver-bullet solutions to stopping deforestation, but it is a crucial prerequisite to understanding the relationships between supply chain actors and producing regions, identifying entry points for supply chain sustainability interventions, assessing the effectiveness of such interventions, forecasting the restructuring of trade flows, and considering sourcing patterns of supply chain actors in territorial planning.

Diversification Through Promotion of Export-Oriented Production and “Green Transformation” in Azerbaijan

Diversification is an important component of the development of any economy. The reason for this is the increase in the country's resilience to external stimuli, which makes progress more gradual, constant and predictable. Thus, the study of the possibilities of diversifying the economy is very relevant, especially in today's geopolitical conditions. The purpose of the work was to analyse some methods of diversifying the economy of Azerbaijan, namely the development of export-oriented production and the implementation of the “green transformation”. Analysis became the main method in writing the article, but historical, modelling, deduction, abstract-logical methods also played an important role. Thus, the work examined and analysed the export of Azerbaijan, during which a significant dependence of the country on oil sales to foreign markets was revealed. Since such a prospect is dangerous for the sustainable development of the country, it is important to carry out certain measures aimed at increasing the diversification of its exports. First of all, they are associated with publicprivate partnerships, but they also take other forms, such as attracting investments and building infrastructure. In addition, the paper describes how the “green transformation” of the country can help achieve the goals of economic diversification and at what stage is the level of “greening” of the state economy; the paper also describes the prospects for the state in achieving these goals. The article brings new knowledge to understand the features of the functioning of the Azerbaijani economy, as well as to the theory of economic and sustainable development, as well as trade